tipping competition, page-23

"To fall to 65 cents would mean the nickel price and world demand would be guttered, due to a very very large (US) recession, which is probably unlikely."

There could be other reasons why the SP could fall as described. For example- lets say Saxon drilled out to be smaller than Avebury. A lot of investors would be dissapointed. Even though all that would mean is a delay in an increase in production untill a large hit somewhere else in the province is proven up, many short term holders would abandon the stock, despite its inherent value. This would result in a short sharp but temporary decrease in the value of the stock.

We are talking about the stock market here!

Im guessing that kgjones based the magnitude of the fall on what happen in May-June this year- the price halved just because there was a general panic in the market where people believed the bubble was about to burst in the market overall, despite there being no evidence of it happening.

Similarly a fall in Nickel price to say $24000us, (which means we would only make billions instead of squillions) could have the same effect.

In any case it would only be a short lived fall; a buy opportunity, which we must expect at some time in the future given the dynamics of the share market.

I have the feeling that AGM is a different stock than it was in May-June this year; it was virtualy unknown then, and viewed very much as a junior. While it still isnt a very well known stock, its entered the big league now and I dont believe that we can assume the same magnitute of "correction" would occur.

This is my view.